Understanding Your Credit Card: Cutoff Date and Payment Date Explained

Currently the use of cards of credit It’s very common. However, fully understanding how it works can sometimes be a little difficult due to the use of banking terminologies. Therefore, I am going to explain the difference between the cutoff date of your card and the Payment date.

To begin with, it is important that you always keep these two dates in mind, since they are essential to maintain a good credit history and also so you don’t have to pay interests the rest. Now yes, the cutoff date It refers to the day on which the bank adds up everything you paid with your credit card, during a period of 30 days and generally, this date is always the same day of each month. On the other hand, the Payment date indicates the last day you have to settle your debt or make the minimum payment, usually this is 20 days after your cut-off date.

In addition, according to the National Commission for the Protection and Defense of Users of Financial Services (Condusef), the legal framework establishes that you have 90 days, from the cut-off date, to file a claim or clarify a doubt. In the event that when reviewing your credit card account statement you notice an anomaly.

Credit cards allow people to pay in installments and make purchases without having to disburse the total payment out of pocket, as long as the credit limit granted by the Bank is not exceeded. However, this implies that the holder is charged some interest, in the case of deciding to make the payment in installments.

To obtain a credit card you must go to the bank branch of your interest and fill out the corresponding application, accompanied by proof of income, official identification and proof of address.

Finally, if you already have a credit card, and you want to increase the credit limit, you have to use your plastic properly and make payments on time. In this way, thanks to your good behavior, your bank can increase the credit limit granted.